Why is Gautam Gems falling/rising?

As of 20-Oct, Gautam Gems Ltd's stock price is currently at 4.14, reflecting an increase of 0.14 or 3.5%. The stock has outperformed its sector today by 1.92%, and while it is higher than its 5-day moving averages, it remains below the 20-day, 50-day, 100-day, and 200-day moving averages. Over the past week, the stock has shown a return of +3.76%, contrasting with a -5.48% return over the past month. Despite this recent uptick, the stock has significantly underperformed over the longer term, with a -47.66% return over the past year and a staggering -70.00% over the last three years. The company's valuation appears attractive with a low enterprise value to capital employed ratio, but it has also faced challenges, including a decline in profits by -24% over the past year and a weak return on equity of 1.99%, indicating low profitability.
In the broader market context, Gautam Gems' recent performance has outpaced the Sensex, which has returned +2.47% over the past week. However, the stock's long-term trajectory remains concerning, with consistent underperformance against the benchmark over the last three years. The high percentage of pledged promoter shares (57.93%) adds to the stock's vulnerability, particularly in a declining market, potentially exerting additional downward pressure on its price. Overall, while there are short-term gains, the long-term fundamentals and market conditions suggest a cautious outlook for Gautam Gems Ltd.